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Report No. 57

4.16. The transfer of property under illegal Transactions-position in England.-

In England,1 the prevailing view is that where property has been transferred under an illegal contract, and the parties have, in addition, observed all the formalities necessary for conveying title to the particular property concerned, then title to that property will pass, regardless of the illegality of the transaction.2

1. (a) Scarf v. Morgan, (1838) 4 M&W 270;

(b) Taylor v. Chester, (1869) 4 QB 309;

(c) Bowmaker Ltd. v. Barnet Instruments, (1945) 1 KB 65 (CA).

2. See Hamson Illegal Contracts and Limited Interests, (1949) 10 Camb 14 249 (251) who describes it as "trite law".



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